New York Governor Kathy Hochul announced that $10 million is now available to advance clean heating and cooling technology for use in large buildings across the state. The state’s new Clean Heat for All: Packaged Terminal Heat Pump program supports the production and demonstration of simple, innovative and energy-efficient cold-climate heat pumps for consumers to replace existing, less efficient air conditioners. This type of cold-climate heat pump is a plug-and-play solution that will lower emissions from buildings, improve comfort and indoor air quality, and reduce strain on the state electric grid.
“We are investing in growing the market for highly efficient cold-climate heat pumps to help more New Yorkers manage their energy use and experience improved indoor climate control in their homes,” Hochul said. “Investing in solutions that can easily replace older, less efficient units will reduce costs for building upgrades and can provide energy savings to consumers while lowering building emissions.”
Administered by the New York State Energy Research and Development Authority (NYSERDA), the Clean Heat for All: Packaged Terminal Heat Pump program will provide funding to selected heating and cooling equipment manufacturers and building owners for product development and field demonstrations of cold-climate heat pumps in multifamily, senior living and hospitality buildings.
In working directly with building owners and heat pump manufacturers, NYSERDA will evaluate proposals against products currently available in the market to ensure that the resulting cold-climate heat pumps are affordable solutions that can be easily installed in buildings without requiring costly electric infrastructure upgrades.
The new program is being implemented through two solicitations. Under the first solicitation, heating, ventilation and air conditioning manufacturers are eligible to receive up to $1.25 million for the development and demonstration of cold-climate heat pumps that meet or exceed the product specification details. Awardees will have up to 18 months to develop prototype PTHP units. The deadline to submit proposals is Feb. 20, 2025, at 3 p.m.
Under the second solicitation, which is expected to open in early 2025, building owners and operators interested in participating in the program will be able to apply to have their buildings qualified as potential demonstration sites. The manufacturers selected through the first solicitation will select demonstration sites from those qualified under the second solicitation and conduct 12-month long field demonstrations, in which the heating and cooling performance of the heat pumps will be closely monitored. NYSERDA will thoroughly evaluate the heat pumps’ performance to confirm that they successfully provide New York State with an economical clean heating and cooling solution.
“Through this new program, NYSERDA is engaging with manufacturers to drive innovation that modernizes the way we heat and cool existing buildings,” said NYSERDA President and CEO Doreen M. Harris. “These efforts will help bring substantial energy efficiency improvements to large buildings — one of the largest contributors of emissions in New York State — and bring forward retrofit solutions that can be replicated more broadly across New York State and beyond.”